New Delhi, May 24 (KNN) Volkswagen Group's Chief Financial Officer, Arno Antlitz, revealed on Thursday that the German automotive giant is engaged in advanced negotiations to establish a partnership for passenger car production in India.

Despite the challenges of generating profits in the Indian market, Antlitz expressed optimism about the country's potential as a growth opportunity for the company.

"We are in very concrete and promising discussions regarding a potential partnership for passenger car production in India," Antlitz stated during his remarks at the Reuters Events Automotive Europe conference in Munich.

He added, "While earning profitability in the Indian market remains a formidable task, we must not underestimate its prospects as a burgeoning automotive market, especially considering the ongoing regulatory uncertainties between the United States and China."

Antlitz's comments follow Volkswagen's recent supply agreement with Indian automotive manufacturer Mahindra & Mahindra Ltd. in February.

Under this agreement, Mahindra will utilise key electric components from Volkswagen's open platform for electric vehicles, signaling the German automaker's commitment to expanding its presence in the Indian market.

Despite the challenges posed by the Indian market, Volkswagen appears determined to capitalise on the country's growth potential, particularly in light of the shifting global dynamics and regulatory landscapes.

(KNN Bureau)